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A bus ticket between two cities cost $150 and the trip will take 25 hours, whereas an airplane ticket costs $450 and takes 5 hours. Kathy values her time at $12 per hour, and Rachel values her time at $18 per hour. Will Kathy take the bus or the plane? Which will Rachel take? Explain.
The Johnson Corporation produces 1000 wood cabinets and 500 wood desks per year, for total cost of $30,000. It has been estimated that if the firm produced 1000 wood cabinets only, the cost would be $23,000, and if the firm produced 500 wood desks on..
Assume this technology becomes widely adopted throughout the country by manufacturers of all types. Elucidate what impact would the Universal Replicator have on the economy.
You are in charge of hiring for the sales department of Nature’s Own chemical company. You are choosing between two workers, a “safe” worker who will produce 250 thousand dollars in sales (net of variable costs) in each of the next four years. Set up..
Explain how the market will respond to the new product. If demand is high, then it's worthwhile to make the extra investment for special facilities also equipment needed to produce the component internally.
below is a list of domestic output and national income figures for a given year. all figures are in billions. the
Write down the budget constraint of the representative consumer and Write down the maximization problem of the representative consumer and find labor supply
Mary Graham worked as a real estate agent for Piedmont Preoperties for 15 years. Her annual income is approximately $100,000 per year. Mary is considering establishing her own real estate agency. Determine the (pre-tax) accounting profit for this ve..
Halle describes “Third-worldism” as an automatic resistance to change among poorer countries to proposals that come from richer countries. What could be done to overcome this distrust?
What would be the new equilibrium exchange rate that would make purchasing power parity grasp for laptops.
Suppose the government imposes a price ceiling of $50 on a market characterized by the following information: Qd=700-2p Qs=100+4p Calculate the magnitude of deadweight loss form the price ceiling. Find a price floor that will result in the same magni..
Illustrate what happens to the value of the owners' equity in this bank. Elucidate how large a decline in the value of bank assets would it take to reduce this bank's capital to zero.
Determine the enrollment variance for the month.Determine the utilization variance for the month.Determine the efficiency variance for the month.
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